China court upholds Liu Han death sentence

Liu Han, the Chinese businessman who almost bought Perth company Sundance Resources before being found guilty of murder, blackmail and running a mafia gang, has lost an appeal against his death sentence.

Hubei Higher People’s Court said on Thursday morning it had rejected the appeal. The death sentence will now be sent back to the Supreme Court for its final approval, which will end the legal battle for the founder of Hanlong Group.

Hanlong owns a majority stake in the ASX-listed Moly Mines and its $1.3 billion takeover bid for Sundance was approved by the Foreign Investment Review Board in June 2012. However, the deal fell over after the Chinese company failed to meet financing deadlines.

Mr Liu and his brother were found guilty of running a mafia-style gang which terrorised China’s south-west for decades.

State-owned newsagency Xinhua said Mr Liu controlled a business empire, spanning 70 companies, with assets of close to 40 billion yuan ($7 billion) and investments in resources, casinos and alcohol-making facilities.

The Liu brothers also had their own arsenal, with grenades, submachine guns, pistols and knives.